The typical fee in England is set to rise 4.3 per cent next year, finds the Chartered Institute of Public Finance and Accountancy
Millions of struggling families face average council tax bills of over £2,000 a year for the first time, according to a research.
The Chartered Institute of Public Finance and Accountancy found that the typical fee in England is set to rise by £78.31 – or 4.3 per cent – next year.
This means an average band D property in the North East and South West is set to pass £2,000 a year – to £2,029.90 and £2,008.78 respectively.
There were major regional variations in the increases on 2020/21 council tax bills, the researchers said.
The highest spikes were in inner London (5.5 per cent) and the lowest were in the East of England (3.5 per cent). In London the average council tax for a band D property in 2021/22 is £1,377.34 –the lowest in the country for this category.
The average bill is expected to be £1,895.25.
Rob Whiteman, chief executive of the Chartered Institute, said: The stark contrast between the levels by which different regions are raising their council tax is indicative of the difficult political position created for them by central government.
The survey was based on responses from 290 authorities in England and Wales. Of those councils in England, all but 13 will be increasing their council tax. The typical bill in Wales is set to increase by 3.9 per cent, or £64.58.
Council tax varies across the country as local authorities have the power to add their own levies to bills.
These are capped by the Government so they can only be raised to a certain level each year.
Robert Palmer, of Tax Justice UK, said: It can’t be right that a Park Lane millionaire can end up paying a comparable amount of council tax as a just-about-managing family in the North.
Harry Fone, of the TaxPayers’ Alliance, added: Council tax bills are going sky-high and feel like a kick in the teeth to taxpayers.
He added: With new fiscal powers a long way off, local authorities must do more right now to eradicate wasteful spending and stop these huge hikes.
But a Local Government Association spokesman said authorities faced ‘tough choices’. He said: Council tax rises – particularly the adult social care precept – have never been the solution to the long-term pressures faced by councils, particularly in social care which is desperately in need of reform.
The articles are for information purposes only and Invest for Property shall not be held responsible for any errors, omissions or inaccuracies within it. Any rules or regulations mentioned within the website are those relevant at the time of publication and may not be the most up-to-date.
Invest for Property does not endorse any of the products or services that appear on it or are linked to it and are not liable for any action that you may take as a result of the content of this website, or losses or damage you may incur doing so.
There is no obligation to purchase anything but, if you decide to do so, you are strongly advised to consult a professional adviser before making any investment decisions.
Please remember that investments of any type may rise or fall and past performance does not guarantee future performance in respect of income or capital growth; you may not get back the amount you invested.